Replication Package for “Judge Ideology and Corporate Tax Planning”

This document describes the replication package for the JFQA paper titled “Judge Ideology and Corporate Tax Planning” by Travis Chow, Allen H. Huang, Kai Wai Hui, and Terry Shevlin.

Notes on Datasets:
To fully replicate our results, researchers will need access to the following data sources:
1. Compustat (Annual Fundamentals and Segments Data)
2. 10-K headers data (compiled by Professor McDonald; from SEC filings): https://sraf.nd.edu/data/stage-one-10-x-parse-data/
3. IRS probability data (compiled by Professor Hoopes): https://www.jeffreyhoopes.com/data.html
4. IRS download data (compiled by Professor Fox): https://zackeryfox.github.io/data.html
5. Exhibit 21 data (compiled by Professor Dyreng; from SEC Form 10-K): https://sites.google.com/site/scottdyreng/
6. R&D tax credit use data (from SEC filings)
7. SOI Tax Stats Corporation Source Book (https://www.irs.gov/statistics/soi-tax-stats-corporation-source-book-data-file)
8. Judge information data: The Federal Judicial Center (https://www.fjc.gov/)
9. State GDP data: U.S. Bureau of Economic Analysis
10. State unemployment data: U.S. Bureau of Labor Statistics
11. State presidential voting data.

Dataset included in the package:
1. Pseudo datasets corresponding to items 1–8 above 
2. Data for circuit judge ideology, tax judge ideology, and district judge ideology measures.

Instructions:
The file named pseudo_random1.do contains all the code used to construct the final sample and perform the empirical analyses. Each section is accompanied by a brief description of the procedures. Due to licensing restrictions, we cannot share the actual final sample data used in our regressions and analysis. Instead, we have provided a randomized version (pseudo_random1_analysis.dta) so that the code can be executed. Please note that results from the pseudo sample will not match those reported in the paper. In this pseudo sample, the variable pseudoid replaces the actual firm identifiers (gvkey). All code was written using Stata 16.

*For enquiries, please contact Travis Chow (travischow@hku.hk).




